Workplace super advice an opportunity

super advice IOOF workplace

27 September 2017
| By Malavika |
image
image
expand image

Financial advisers should explore being a designated adviser through an employer’s superannuation plan as an opportunity to grow their business, according to IOOF.

With 28,000 medium-sized businesses in Australia and new remuneration structures offered by super providers, advisers should explore workplace super as there were three key opportunities from integrating workplace super advice into their services.

It offers them scale to grow their client base as they would become the point of contact for members beyond their super needs, it would offer them a new revenue stream, and it was a way to retain business clients.

“Most new remuneration models provide a flat fee per member model. So, for every company an adviser provides workplace super advice for, the more their business grows. What’s more, as those companies grow, so do revenue and referral opportunities,” IOOF said.

Additionally, with an IOOF study showing 28 per cent of employees surveyed saying personal financial issues were a distraction at work and nearly half spending three or more hours a week thinking about or dealing with their personal financial issues, the firm said employees also required advice.

Advisers could provide simple intra-fund advice (personal advice without doing a complete know-your-client), which would be limited to advice on super.

IOOF cited support from the Association of Superannuation Funds of Australia (ASFA) for either intra-fund or comprehensive advice through super, which in its 2016 submission to the Productivity Commission said advice provided a benefit beyond positive investment returns.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

This verdict highlights something deeply wrong and rotten at the heart of the FSCP. We are witnessing a heavy-handed, op...

1 hour ago

Interesting. Would be good to know the details of the StrategyOne deal....

4 days 6 hours ago

It’s astonishing to see the FAAA now pushing for more advisers by courting "career changers" and international recruits,...

3 weeks 2 days ago

Insignia Financial has made four appointments, including three who have joined from TAL, to lead strategy and innovation in its retirement solutions for the MLC brand....

2 weeks 4 days ago

A former Brisbane financial adviser has been charged with 26 counts of dishonest conduct regarding a failure to disclose he would receive substantial commission payments ...

3 days 4 hours ago

Pinnacle Investment Management has announced it will acquire strategic interests in two international fund managers for $142 million....

2 days 7 hours ago